FTAI Acquires 27 737-700s from WestJet as Carrier Begins Fleet Retirement

FTAI Aviation has acquired 27 Boeing 737-700s from WestJet in a transaction combining a 17-aircraft sale-leaseback with the purchase of 10 off-lease aircraft for FTAI’s Aerospace Products business.

The 17 aircraft remaining in WestJet service were acquired through FTAI’s 2026 SPV, the second investment vehicle established by its Strategic Capital business. WestJet will continue operating the aircraft under lease agreements.

FTAI acquired the other 10 aircraft directly as they exit WestJet’s fleet. The aircraft will provide CFM56-7B engines and modules for FTAI’s maintenance, repair and exchange operations, increasing material available to support engine customers.

For WestJet, the transaction formally begins the retirement of its 737-700 fleet. The airline described the 27-aircraft deal as the first step in the type’s phaseout and indicated that it expects to pursue additional opportunities with FTAI.

FTAI established its 2026 SPV to invest in mid-life 737NG and A320ceo aircraft that remain on lease. The vehicle follows its 2025 SPV, which raised $2 billion in equity commitments and has committed approximately $6 billion across more than 300 aircraft.

McGuireWoods advised FTAI on the transaction, while BD&P represented WestJet.